<article>Coimbatore-based automotive components maker <a style="color: #000080;" href="https://www.dealstreetasia.com/?s=Pricol+Ltd" target="_blank" rel="noopener noreferrer">Pricol Ltd</a> has decided to buy wiping systems business of <a style="color: #000080;" href="https://www.dealstreetasia.com/?s=Ashok+Piramal+Group" target="_blank" rel="noopener noreferrer">Ashok Piramal Group</a>&#8216;s <a style="color: #000080;" href="https://www.dealstreetasia.com/?s=PMT+Auto+Components+Pvt+Ltd" target="_blank" rel="noopener noreferrer">PMP Auto Components Pvt Ltd</a>, according to a statement.</article>

Coimbatore-based automotive components maker <a style="color: #000080;" href="https://www.dealstreetasia.com/?s=Pricol+Ltd" target="_blank" rel="noopener noreferrer">Pricol Ltd</a> has decided to buy wiping systems business of <a style="color: #000080;" href="https://www.dealstreetasia.com/?s=Ashok+Piramal+Group" target="_blank" rel="noopener noreferrer">Ashok Piramal Group</a>&#8216;s <a style="color: #000080;" href="https://www.dealstreetasia.com/?s=PMT+Auto+Components+Pvt+Ltd" target="_blank" rel="noopener noreferrer">PMP Auto Components Pvt Ltd</a>, according to a statement.
The deal amount was not disclosed and is subject to customary closing conditions.
The acquisition will be done through Pricol&#8217;s wholly-owned subsidiaries and will be funded by a combination of internal accruals and external debt.
It will help Pricol diversify its product offerings and provide access to manufacturing facilities in Europe and North America. The acquisition will also increase its presence with passenger vehicles customers diversifying revenue streams and opening up multiple cross selling opportunities.
“PMP has decided to divest this business as part of its strategic portfolio reallocation where this business has been determined as non-core. We are happy that an automotive focused group like Pricol is taking over this business and hope that they will take it to further heights,&#8221; said Harsh Piramal, the Managing Director of PMP Auto Components Pvt. Ltd.
PMP had acquired the wiping systems business in 2008 from Canadian auto components company Magna International and is currently running manufacturing facilities in Czech Republic, Mexico and India. The business supplies wiper motors to global automotive customers and has a turnover of around Rs 250 crore. Its customer includes companies like VW, Fiat, John Deere, Skoda, Audi and Seat.
&#8220;We believe that wiping systems is a growing product segment which would be largely immune to the ever changing technological trends in the automotive sector and the eventual move to electric vehicles. With manufacturing presence in Czech Republic and Mexico, this acquisition fits in perfectly with our ongoing plans to establish presence in these regions,&#8221; said Vikram Mohan, MD, Pricol.
Pricol was started in 1972. It makes automotive components like dashboard instrument, speedometer cables, oil pumps, disc brakes, sensors, oil pumps, industrial gauges and vehicle security systems.
Pricol Ltd&#8217;s scrip was trading at Rs 92.85 each, up 2.65 per cent on BSE in a weak Mumbai market on Friday at 12.40 PM.
<a style="color: #000080;" href="https://www.dealstreetasia.com/?s=BMR+Advisors" target="_blank" rel="noopener noreferrer">BMR Advisors</a> acted as a financial advisor to Pricol and PWC was the transaction advisor to the shareholders of PMP.
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Coimbatore-based automotive components maker Pricol Ltd has decided to buy wiping systems business of Ashok Piramal Group's PMT Auto Components Pvt Ltd.

India: Pricol to acquire Ashok Piramal Group's PMP Auto Comp business

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India: Pricol to acquire Ashok Piramal Group's PMP Auto Comp business

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